EMC Chairman and CEO Joe Tucci yesterday said Democrats and Republicans will have to compromise to avoid going over the year-end fiscal cliff and sending the nation back into recession.
At the Techonomy 2012 conference in Tucson, Ariz., Tucci said it would be a "vengeful act not to come together," an act that would have implications not only for the country, but for the world.
"I'm really optimistic — with one big caveat," he said in an onstage interview with Techonomy founder David Kirkpatrick. "I've never seen a time where the rest of the world is looking to the U.S. for leadership more than now."
Congress needs to raise revenues, rein in spending and come up with some plan to balance the budget over time in order to avoid the tax increases and spending cuts scheduled to take effect Jan. 1.
"If we do that, 2013 will be better than we expect," Tucci said. "If we blow that ... we'll be in a recession."
Europe, which is grappling with its own fiscal problems, needs the U.S. to prevent that from happening, he said.
China's new leadership, Tucci said, is "very bright, very well educated," and understands that their country and the U.S. must get along.
As for EMC, which has $22 billion in revenues this year, Kirkpatrick asked how strong the cloud computing company's relationship with Cisco is after EMC's VMware bought network technology startup Nicira, which Cisco had considered acquiring.
"Cisco is our closest and most strategic partner," Tucci answered, "and we will have a long and prosperous relationship" in the area of data communication.
Tucci declined to say how EMC is using technology it acquired with Pivotal Labs, which it bought in March.
"I don't want to give a lot away," he said. "We're going to be talking about it in a couple of months."
Pivotal Labs was one in a string of EMC acquisitions over the past two years. In April 2011, EMC acquired NetWitness Corp.
In May 2012, the company acquired XtremIO, Syncplicity and Watch4net.
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